ANNOUNCEMENT 11 Aug 2014

In August 2014, the government of Nigeria announced a change in the required local operations to serve domestic customers.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 1 neutral
  • 0 liberalising

SOURCE



NCDMB Press Release, 11 August 2014, 'Power Sector to adopt Nigerian Content guidelines': http://www.ncdmb.gov.ng/index.php/news-update/110-press-release-power-sector-to-adopt-nigerian-content-guidelines
Federal Ministry of Power Memorandum, August 2014: http://www.power.gov.ng/National%20Council%20on%20Power/FMoP.pdf
Nigerian Bulletin, 1 October 2014, 'NERC Forbids Importation Electricity Meters, Prefers Patronage of Local Manufacturers': http://www.nigerianbulletin.com/threads/nerc-forbids-importation-of-electricity-meters-prefers-patronage-of-local-manufacturers.94486/


Inception date: No inception date

Local operations

On 11 August 2014, the Nigerian Content Development and Monitoring Board (NCDMB) reported that the Federal Ministry of Power (FMP) is setting up a local content policy, following the example set by the oil and gas sector in 2010 (see 'Related measures'). In August 2014, the FMP published a memorandum on 'The Development of Nigerian Power Sector Content Development Policy, Strategic Framework and Draft Bill'. This document stresses the need for a Nigerian content policy in the electric power sector, aimed at value creation, capacity development, the utilization of Nigerian human material resources and services, and employment of Nigerians, and reducing the outflow of foreign exchange.
As of yet, there is no further information available on what the exact provisions of the policy, when finalised, will be, or on its implementation date. However, the NCDMB reported that the FMP is likely to adopt the existing policy in the oil and gas sector - mutatis mutandis - to a large extent, and identified the manufacturing of meters and of 132 kV power lines as possible services Nigerians can easily provide. This latter statement appears to have been confirmed on 1 October 2014, when the Nigerian Electricity Regulatory Commission reportedly banned the importation of electricity meters 'unless we have a proof that local manufacturers cannot meet the demand, as we are committed to enhancing local production'.

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AFFECTED PRODUCTS

 
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